Updated: Sep 14, 2020
“Globalization can be defined as the process of social, political, economic, cultural, and technological integration among countries around the world.” (p. 7) Many Americans who supported Trump in 2016 that was against globalization were traditional factory workers. They lack advanced education/specialized training to compete with the ever-changing job markets. Automation has contributed to the massive job losses in the United States and the deportation of jobs (i.e., manufacturing and service industry jobs) to emerging markets for cheaper labor. Mergers and acquisitions of Fortune 500 corporations contributed to the restructuring of various sectors on a global scale; the increasing size of these mega-corporations are influencing the restructuring of the worldwide economy.
Professor Stiglitz talks about job destruction and the corporate agenda of globalization. Big corporations expanded critical operations to countries for cheaper wages and cost-cutting in other areas of their business operations (i.e., India, Mexico, and certain Southeast Asian countries). For example, many companies have customer service offices located in either India or Bangladesh. Many American employees have found themselves competing for jobs with foreigners. They have advanced degrees (STEMS) and the specialized education/training required of the new workforce by these big corporations. Google, Apple, and other technology companies recruit from an international pool of candidates because, frankly speaking, it’s been a challenge to find qualified American citizens to fulfill these jobs.
The documentary “American Factory” on Netflix presents a picture of what is happening to the American manufactory employee.
Also, corporations’ priority is to make a profit. Their size gives them significant influence over capitalism, political power, and access to crucial resources globally. Wal-Mart, Amazon, Apple, Microsoft, Bayer-Monsanto, and so on, are large enough to impact both their respective industries, global markets, and jobs. Amazon, for example, has its tentacles (i.e., Amazon reminds me of an octopus) in other specialties: retailing, credit lending, publishing, filmmaking, and so on.
Regarding the impact of Covid-19, I can speak directly from personal experience. I'm a recording artist that owns an independent record label. I have a distribution deal with a company based in Germany. Last weekend, I had a live performance in Brooklyn that was my first paid gig since this pandemic hit in March. I know several artists have lost thousands of dollars because we've lost performance opportunities, can't travel to gigs, and so on. However, because I'm a songwriter and music publisher (i.e., BMI-affiliated and with the Harry Fox Agency), I'm still able to rely on digital marketing and sales to earn royalties. My distributor has been great with staying up-to-date with the impact of Covid-19. Many of us have started to do online concerts as well. My twenty-year-old niece (an NYU junior) started me with Tik Tok for my music promotions. According to Senderoff and Katz (2020), “We see a world where social apps, messaging services, creator tools and a slew of newly formed digital companies are able to license commercial music at a scale and efficiency we haven’t seen before. Companies that can bring our music to the masses no longer need to wait in an 18-month line to secure music rights.” (main page)
Luthans, F. & Doh, J. (2021). International Management: Culture, Strategy, and Behavior. Retrieved from https://connect.mheducation.com/paamweb/index.html#/registration/signup/p-okeefe-instructor-prebuilt-course
Senderoff, S. & Katz, Z. (2020, July 21). Covid-19 Warns the Music Biz to Think About Tomorrow Today (Guest Column). Billboard. Retrieved from www.billboard.com